in line with the Energy Independence and Security Act of 2007 (EISA),
the Environmental Protection Agency
(EPA) revealed that it will need 800
million gallons of biodiesel in the United States domestic
market in 2011.
EISA "expanded" the Renewable Fuels Standard (RFS2), which
has volume requirements for Biomass-based Diesel, undifferentiated
Advanced Biofuels and Cellulosic Biofuels. Biodiesel is the only
commercially accepted U.S.-made Advanced Biofuel that fits the
description of an undifferentiated Advanced Biofuel and Biomass-based
diesel, and it can cut greenhouse gas emissions by as much as 86
percent when made from animal fats, agricultural oils, and waste
EPA, under the RFS2 program, must determine applicable percentage
standards "for each compliance year prior to November 30"
of the year before, and then publishes it. Today's published document
from the EPA has initiated the finalization of this rule and will
kickstart the 2011 volume requirements provided by the RFS2.
applaud EPA for this announcement and for reaffirming the common
sense notion that we should displace petroleum diesel fuel with
Advanced Biofuels like biodiesel," said Manning Feraci, Vice
President of Federal Affairs for the National Biodiesel Board. "This
notice demonstrates to all actors in the fuels marketplace that the
volume goals for Biomass-based
Diesel provided for by law in the RFS2 program will be met
and that 800 million gallons of biodiesel must be used in 2011."
EPA hopes to mix 13.95 billion gallons of biofuels into the fuel
supply, which is a total of 7.95 percent of all fuel used
by U.S. vehicles. This is an increase of 1 billion gallons from
the 2010 target of 12.95 billion gallons, and of this total, 800
million gallons of biodiesel must be mixed into the United States'
overall diesel supply.
producers are concerned with whether these production
levels can be reached due to biodiesel prices being much
more expensive than regular diesel. Producers would like to see
Congress pass a $1 per gallon biodiesel tax once again, since it
expired last year, in order to make biodiesel more affordable.